Revolve Group, an established online fashion retailer hailing from Cerritos, California, is making waves with the recent announcement of its upcoming initial public offering (IPO). The company has detailed plans to offer a total of 11.8 million shares in the IPO, with each share priced in the range of $16 to $18. Of these shares, 2.9 million will be of its class A common stock, to be sold by the company itself, while a significant 8.8 million shares, accounting for 75% of the total shares, will be sold by existing shareholders. This strategic move is expected to bring about a valuation of approximately $200 million for Revolve Group.
A crucial point to bear in mind is that the company will not actually receive any proceeds from the sale of shares by existing shareholders. Revolve Group is gearing up to list its shares on the esteemed New York Stock Exchange under the ticker symbol “RVLV,” signaling a new chapter in its growth story. Notable underwriters for this exciting endeavor include renowned names like Morgan Stanley, Credit Suisse, and BofA Merrill Lynch.
Founded back in 2003 by Michael Karanikolas and Michael Mente, Revolve Group currently oversees two key online platforms: Revolve.com and Fwrd.com. Moreover, the company commands a portfolio of 19 brands under the umbrella of Alliance Apparel, a strategic acquisition made in 2014. The fiscal year 2018 proved to be immensely promising for Revolve, witnessing impressive financial figures of $498.7 million in net sales and $30.6 million in net income. These numbers reflect a substantial growth of 24.8% and a staggering 512.8%, respectively, compared to the previous year.
The IPO terms announcement serves as a momentous occasion for Revolve Group, underscoring its ambition to solidify its standing in the fiercely competitive online fashion retail space. Backed by robust financial performance and a diversified brand portfolio, Revolve Group is poised for continued growth and triumph in the industry. Investors and industry analysts will be closely observing the company’s IPO unfold, eager to assess its performance and potential for expanding further within the realm of fashion e-commerce.
To learn more about Revolve Group and its upcoming IPO, visit their official website here. Additionally, for insights into investing in the fashion industry, check out this informative article here.
